On March 19, 2025, Barbara Corcoran, a prominent mentor from the hit show Shark Tank, addressed the issue of homeownership in a thought-provoking Instagram reel. In her video, Corcoran made a strong case for why investing in real estate now is a prudent financial decision.
She highlighted the ongoing increase in home prices and the persistency of elevated mortgage rates, which pose challenges for potential buyers who defer their purchasing decisions. Corcoran emphasized the urgency for would-be homeowners to act rather than procrastinate.
“Stop stalling! If you can afford the down payment, it’s time to buy the house,”the accompanying caption urged.
Barbara pointed out that numerous homeowners are holding onto their low-interest mortgages from previous years, which is constricting the housing supply. This scarcity in available properties is contributing further to rising home prices. Her advice is clear: if prospective buyers have the means for a down payment, it is advantageous to purchase now rather than gamble on future market shifts.
Insights from Barbara Corcoran on Home Buying
In the Instagram reel, Corcoran elaborated on the potential pitfalls of delaying a home purchase.
“You already know that the mortgage rates are still high and house prices are going up still by 3 or 4% a year. You shouldn’t waste any time in stall buying your house, and let me tell you why,”she expressed.
Corcoran further emphasized the challenge of the current market landscape:
“The real problem in the marketplace is that two-thirds of homeowners are sitting on interest rates under 4%, and they’re not going to move. Don’t stall, get out there and buy a house.”
She indicated that the housing market remains competitive, largely due to homeowners not selling properties because of favorable mortgage rates, thereby complicating the search for new buyers. Corcoran cautioned against waiting for a market correction, as home values are projected to continue their upward trajectory.
Corcoran’s Stance on Renting vs. Owning
During an interview with The Street on the same day, Corcoran reiterated her stance on homeownership as a foundational financial strategy. The conversation around renting versus buying remains a critical discussion point in personal finance. While some financial experts promote renting as a flexible option, Corcoran champions homeownership as a pathway to establishing lasting wealth.
“Why do you want to pay somebody else for where you live? And you have to live somewhere. You might as well pay for it and own it yourself,”she stated emphatically.
Drawing from her personal experience, Corcoran reflected on how her initial home purchase allowed her to eventually upgrade to her current residence, stating:
“The best investment [I ever made] was my first studio apartment. I could barely afford it. I could barely scrape the money together. But if I hadn’t bought that studio apartment, I would have never gotten in the market.”
Corcoran continued to explain how homeownership can enhance financial security, particularly in retirement. Many Americans rely heavily on the equity of their homes as a substantial financial asset. She reaffirmed that owning property is a crucial element of long-term stability.
Nevertheless, there are contrasting opinions within the financial community. Some experts contend that renting may be more beneficial, particularly in markets where property values are stagnant. The overall financial advantages of buying a home can diminish due to related costs such as property taxes, insurance, and maintenance expenses.
According to the National Association of Realtors, the average down payment required for a home as of January 2025 was $71,442. This investment could potentially yield greater returns if allocated wisely in other ventures.
For those interested in Corcoran’s insights and updates from Shark Tank, episodes are currently streaming on ABC.